Co-op Group reports 65pc profit as South Sudan returns Sh43.9mn in Q12021

NAIROBI, Kenya, May 26 – Co-op Bank Group has reported a Profit after Tax of Shs 5.8 Billion compared to Kshs. 3.5 Billion reported in 2021, delivering a competitive Return on Equity of 23.8 percent to our shareholders.

The results were boosted by the Co-operative Bank of South Sudan(a unique joint venture (JV) partnership with the Government of South Sudan) which returned a profit of Shs 43.9 Million in Q12022 compared to a loss of Shs 89.1 million in Q12021.

The strong performance of the Bank is in line with the Group’s strategic focus on sustainable growth, resilience, and agility.

The bank has reaffirmed its commitment to pursue strategic initiatives that focus on resilience and growth in the various sectors as the economy continues to recover.

The group’s total operating income grew by 17 percent to Shs16.8 Billion while total operating expenses declined by 3 percent from Kshs 9.3 Billion.

The bank’s total Assets grew to Shs 597.0 Billion, an 8 percent growth from Shs 552.9 billion in the same period last year

Net loans and advances grew to Shs 324.5 Billion, a  9 percent growth while investment in Government securities grew by 10 percent.

The Gross Non-Performing Loan (NPL) Book has reduced by 5 percent from last year, with our NPL ratio improving to 13.3% against 15.2 percent in a similar period last year.

Over the same period, shareholders’ funds grew to Shs 102.7 Billion, a 10 percent increase from Kshs. 93.7 Billion in in 2021.

In terms of subsidiaries,  Co-op Consultancy & Bancassurance Intermediary Ltd posted a Profit Before Tax of Kshs 316.9 Million as at 31st March 2022, riding on strong penetration of the Bancassurance business.

Co-op Trust Investment Services contributed Kshs. 53.7 Million in Profit Before Tax in Q12022, with Funds Under Management of Kshs. 190.2 Billion compared to Kshs. 128.4 Billion in March 2021.

Kingdom Bank Limited (A Niche MSME Bank) has contributed a Profit Before Tax of Kshs. 199.3 Million in Q12022 compared Shs. 126.7 Million was reported last year representing a 57 percent growth year on year.